The Amex Cobalt Card is one of the finest travel credit cards and a necessity for anyone who enjoys eating, drinking, and staying in. It is the greatest credit card for groceries in Canada. Additionally, it provides fantastic insurance coverage. All of your credit card-obsessed friends rave about the American Express Cobalt. It is the best option for consumers who spend a lot on these categories due to its superior earning rate on drinking and eating out, streaming subscriptions, and traveling (whether using public transportation or Uber).
For those who enjoy a night out on the town, further benefits include Front Of The Line presale tickets to popular shows and access to the Amex Lounge. While there is a wide range of redemption options available, including gift cards, statement credits, and even purchases at Amazon.ca, using Membership Benefits for travel, particularly when transferring them to British Airways or Aeroplan, will optimize your rewards.
Unfortunately, the Cobalt does not grant you access to airport lounges. However, this is more than made up for by Cobalt’s exceptional travel insurance, which includes emergency medical coverage—possibly the most crucial travel insurance that is not offered on many travel credit cards.
Although the $155.98 annual fee is more expensive than the $120 annual fee you see on many high-end rewards cards, you pay $12.99 monthly rather than a large sum of money all at once on your account. With 5 points for every dollar spent on qualifying food and drink purchases (including groceries), 3 points for eligible streaming subscription purchases, and 2 points for eligible travel, transit, and fuel expenditures, the earn rate is high.
Earn an extra Membership Rewards point for every dollar you spend with the card to book a hotel or rental car with American Express Travel. For new Amex Cobalt cardholders, the first year’s $500 in net purchases will earn them 2,500 Membership Rewards, which can stack up to 30,000 points and be redeemed for up to $300 in concert tickets or weekend getaway expenses. The Amex Cobalt offers excellent redemption versatility, allowing for purchases of cinema tickets, statement credits, subscriptions to streaming services, and more.
Advantages of using Amex Cobalt Card: A hefty 30,000-point welcome bonus. Outstanding earning potential. A yearly price that is divided into manageable monthly payments. Extensive travel insurance that covers car rentals, flight delays, and out-of-country medical needs. Disadvantages of using Amex Cobalt Card: A higher credit score is necessary (recommended is 700+). A somewhat hefty ($155.88) annual charge.
Amex Cobalt Card Rewards
Membership Rewards Earning
Since virtually every lifestyle is covered by the number of purchase categories that qualify for Membership Rewards, earning rewards with the Amex Cobalt is simple. Everywhere American Express is accepted, you can accrue Membership Rewards points. It’s a frequent fallacy that American Express isn’t recognized everywhere, despite what you may believe. The majority of large merchants, gas stations, and eateries do accept Amex, and because of Amex’s efforts to help smaller businesses, its adoption among these neighborhood treasures is steadily growing.
This is quite advantageous because the Amex Cobalt allows you to accumulate 5 points for every dollar spent at cafes, restaurants, and cocktail lounges. Even if you prefer to spend your time at home, you may still earn a lot of money by just ordering groceries or food delivery. This earning rate is accessible for up to $30,000 in net purchases that are posted to your account each year.
Additionally, you can get three points for every dollar you spend on eligible Canadian streaming services, including Apple TV+, Apple Music, Crave, Disney+, Netflix, Spotify, and TSN GO. Additionally, you can earn 2 points for every $1 spent at gas stations on reservations made for travel by air, water, or rail and for local commuter transportation such as limos, taxis, and the subway.
Additionally, if your purchase doesn’t fit into one of those categories, you will still receive one point for every dollar spent on any other purchases. If all of this wasn’t incentive enough, qualified travel purchases (hotel reservations, airline tickets, rental car reservations, etc.) made through the American Express Travel Website would earn you an extra one Membership Rewards point for every dollar spent.
Amex Cobalt Card: Redeeming Membership Rewards
You may exchange your points for gift cards, bill credits, or Ticketmaster tickets, but using your Membership Rewards for travel is better for getting the best value. With no fewer than four alternatives for trip redemption, you have tremendous flexibility with your redemption options for travel alone:
Transfer points 1:1 with Aeroplan for a 4.5% return on your purchases (for instance, 30,000 points at $0.02 each are worth $600). Transfer to the Fixed Points Travel Program, which only applies to short-haul flights but offers the same value of up to $0.02 per mile. Long-haul flights inside North America rank lower, with a return rate of 3.76% or 1.75 cents per point. Transfer points to hotel loyalty programs like Marriott Bonvoy or Hilton Honors.
Since Bonvoy offers better redemption, we’ll concentrate on that in our example: Transferring Membership Rewards points to Marriott Bonvoy increases their value from the typical $0.097 per Marriott Bonvoy point to $1.16 per point. To guarantee that you always receive at least $0.01 per point, switch to the Flexible Points Travel Program. Each point is always worth $0.01 when you book any form of trip with any supplier and pay with your Amex Cobalt.
You can potentially earn $1,080 in points or a 4.5% return on expenditure if you use your Amex Cobalt to make monthly purchases of around $2,000 ($24,000 annually). Again, this assumes that you transfer your points to Aeroplan or British Airways for travel in order to get the most value out of them. The value is reduced to $945 per year while using Amex’s Fixed Points Travel Program.
You receive $540 a year if you utilize it for statement credits or charitable contributions. However, they are only worth $378 a year if you use the points to spend at Amazon. Once more, we heartily advise using this card for travel and the benefits that come with being an Amex member.